Matthew W Ford
Northern Kentucky University College of Business

 

 

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Channel Conflicts (Updated 10/26/2011 10:52 AM )

MGT 307

Dell Computer has long been a leader in distributing products via a 'direct' channel between Dell and customers.  Recently, the company has been moving into conventional two step distribution channels.  After reading this Business Week article about Dell's initiative, answer these questions:

  1. What pricing-related conflicts are likely as Dell tries to distribute products through both the direct and two step channels?

  2. Can Dell easily transfer its build-to-order approach for making PCs for the direct channel to the two step channel?

  3. If you were advising Michael Dell on downstream distribution strategy, what would you advise here?

Submit a one page memo with your answers.

 

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